Joan Collins (Dublin South Central, People Before Profit Alliance)

I support the Bill put forward by Deputy Donnelly today as part of the resolution of debt that people face. The proposal is positive because at the moment judges have no discretion when it comes to a couple or family who are in the courts and whose home is being repossessed by the bank. This legislation would permit the judge to allow any offer made by the borrower to be taken into account and it would allow the judge to consider the level of arrears of the loan, the amount of mortgage debt as a proportion of the current market value of the home, the current state of the housing market, the conduct of the lender and other relevant matters to be decided by the judge. It would give the judge discretion to refuse to grant repossession because certain factors have not been taken into account and because the lender is deemed to be too avaricious in its attempt to take the home from the homeowner. This Bill could play a role in any insolvency legislation that comes through.

More deep-rooted legislation is needed to protect people in their family homes. It is generally agreed that banking debt and mortgage debt are the two areas dragging down this country. This morning Mr. McCarthy stated that the economy is flat, stagnant and going nowhere. The predicted growth rate is now down to 0.5%, only one third of the prediction of the Minister, Deputy Noonan, and well below the 8% growth rate need to spur the economy in the near future. We are in a flatline economy at the moment.

Continued austerity and significant prices increases are eating into our incomes. They are being slashed by the universal social charge, pension levies and incomes tax cuts.

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